Att and Disney

[FutureCEO]

http://www.tvinsite.com/multichanne...&articleid=&doc_id=37971&display=breakingNews

Disney Mulls AT&T Broadband Bid

By Mike Farrell
Multichannel News
7/24/01 11:42:00 AM

The Walt Disney Co. president Robert Iger threw his company’s hat into the ring of possible suitors for AT&T Broadband, telling CNBC Monday night that Disney is considering making a bid for the cable unit.

Speculation has been rampant ever since Comcast Corp. offered to buy the cable unit earlier this month that competing bidders would surface. Potential suitors include Charter Communications Inc., Communications Inc., Vivendi Universal and Viacom Inc.

'We’ve been approached by a number of entities that sought our help in terms of putting together a bid of sorts for those assets,' Iger told CNBC. 'It’s not out of the realm of possibility.'

Iger declined to elaborate on just what companies were seeking Disney’s help, adding that the identity of potential partners is not as important as how a potential deal would be set up.

'We’re more interested in the nature of the deal -- the cost, what our investment would be and the impact on the business going forward,' Iger said. 'It’s not about the partner, it’s about the deal.'

Just how that deal would be structured would be critical to Disney. Under current ownership rules, if Disney were to own a substantial portion of AT&T Broadband, it would have to divest its owned-and-operated broadcast-television stations in major markets where AT&T Broadband operates -- something it probably wouldn’t want to do.

If Disney does pull this off how is Disney gonna get the money? As much i as would like for Disney to buy a tv company, i think this is impossible.

 

[wdwmaniac]

It won't be cheap!! It has to be over 44 billion!!! this would be great it would give disney the cable broadcasting capabilties they need!!!!

 

[d dude]

Would Walt want this? I thought his dream was to entertain people not to become some "gigacompany".

 

[FutureCEO]

ATT rejected Comcast 51 million deal and new scope

http://quote.bloomberg.com/fgcgi.cgi?T=marketsquote99_news.ht&s=AO2HFwRTSRGlzbmV5

Disney May Skip AT&T Joint Bid to Avoid Discord, Analysts Say
By Adam Steinhauer


Burbank, California, July 27 (Bloomberg) -- Walt Disney Co.'s possible participation in a joint bid to buy AT&T Corp.'s cable- television unit likely will lead to disagreements among the partners and might fail, analysts said.

Disney has ``been contacted by several entities and is evaluating their proposals'' on a joint bid for AT&T Broadband, the biggest U.S. cable systems operator, spokeswoman Christine Castro said yesterday.

President Robert Iger said Monday that Disney might be open to investing in AT&T Broadband after AT&T rejected Comcast Corp.'s unsolicited $51 billion bid last week. A joint bid by Disney and other cable operators is unlikely because it would create disagreements among the participants, analysts said.

``I think it's a long shot,'' said Katherine Styponias, a Prudential Securities Inc. analyst. ``Sort of having three chefs in the kitchen sounds like a recipe for disaster.'' She rates Disney shares ``hold.''

Burbank, California-based Disney is considering a joint bid with a group that would include cable operators Communications Inc. and billionaire Paul Allen's Charter Communications Inc., the Wall Street Journal reported yesterday, citing people familiar with the situation.

Castro declined to comment today. AT&T, and Charter representatives couldn't be reached to comment.

Disney shares rose 10 cents to $27 in late trading. AT&T fell 2 cents to $20.48. rose 35 cents to $40.39 and Charter rose 23 cents to $21.84.